Production, Redistribution, and Inequality
https://doi.org/10.18255/1818-1015-2017-1-5-12
Abstract
We use an infinite-dimensional Lotka–Volterra model to analyze production, accumulation, and redistribution of wealth in an economy. We show that, if the amount of wealth produced in the economy is small relative to the amount redistributed, the eventual distribution of wealth will be extremely unequal, with all of it being concentrated in single hands in the limit case. The winner’s identity is determined by his ability to redistribute and produce wealth. Similar outcomes are observed in some physical processes. Article is published in the authors’ wording.
About the Authors
Alexey V. Zakharov
National Research University Higher School of Economics
Russian Federation
20 Myasnitskaya str., Moscow 101000
Russian Federation
20 Myasnitskaya str., Moscow 101000
Vladimir E. Zakharov
University of Arizona;
Novosibirsk State University
Russian Federation
doctor of science, Tucson, USA
Russian Federation
doctor of science, Tucson, USA
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Review
For citations:
Zakharov A.V., Zakharov V.E. Production, Redistribution, and Inequality. Modeling and Analysis of Information Systems. 2017;24(1):5-12. https://doi.org/10.18255/1818-1015-2017-1-5-12
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